Steven Klinsky Acquires 250,495 Shares of New Mountain Finance (NASDAQ:NMFC) Stock

New Mountain Finance Corporation (NASDAQ:NMFC) Director Steven Klinsky acquired 250,495 shares of the company’s stock in a transaction that occurred on Tuesday, March 3rd. The shares were bought at an average price of $7.94 per share, for a total transaction of $1,988,930.30. Following the completion of the acquisition, the director owned 4,754,338 shares of the company’s stock, valued at $37,749,443.72. This trade represents a 5.56% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink.

New Mountain Finance Trading Down 1.5%

NMFC opened at $7.98 on Friday. The stock has a market capitalization of $823.22 million, a P/E ratio of 53.20 and a beta of 0.59. The company has a current ratio of 3.16, a quick ratio of 3.16 and a debt-to-equity ratio of 1.41. New Mountain Finance Corporation has a 12 month low of $7.52 and a 12 month high of $11.46. The firm’s fifty day simple moving average is $8.62 and its 200 day simple moving average is $9.32.

New Mountain Finance Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 31st. Investors of record on Tuesday, March 17th will be given a $0.32 dividend. This represents a $1.28 dividend on an annualized basis and a yield of 16.0%. The ex-dividend date of this dividend is Tuesday, March 17th. New Mountain Finance’s dividend payout ratio (DPR) is currently 853.33%.

Key Headlines Impacting New Mountain Finance

Here are the key news stories impacting New Mountain Finance this week:

• Positive Sentiment: Director Steven B. Klinsky completed multiple purchases in early March — roughly 675,000 shares bought across March 3–5, representing a multi‑million dollar accumulation. Large insider buys signal management confidence in the company’s outlook and can support the stock. InsiderTrades: Klinsky Acquires Shares
• Neutral Sentiment: The company declared a quarterly dividend of $0.32 (payable March 31; ex-dividend March 17), which provides a very high yield that may appeal to income investors but also requires scrutiny of sustainability. Detailed dividend and company profile available here. MarketBeat: NMFC Dividend & Profile
• Negative Sentiment: Analysts have been cutting targets and taking a more cautious stance: B. Riley lowered its target and other firms have trimmed price objectives, leaving a consensus “Reduce”/Hold tilt and a consensus target below recent highs. Analyst pessimism is a near-term headwind. MarketBeat: Analyst Notes on NMFC
• Negative Sentiment: Dividend sustainability is a major concern: the reported annualized dividend implies an extremely high payout ratio (reported ~853%), which investors often view as unsustainable for a BDC and can pressure the share price if cash flows or NAV come under stress. MarketBeat: Dividend & Payout Ratio
• Negative Sentiment: Independent research and bearish commentary (including a pessimistic forecast cited by B. Riley) add selling pressure and may explain the weaker intraday performance. AmericanBankingNews: B. Riley Forecast

Analyst Upgrades and Downgrades

Several brokerages have recently weighed in on NMFC. Zacks Research cut shares of New Mountain Finance from a “hold” rating to a “strong sell” rating in a research note on Thursday, February 26th. Weiss Ratings restated a “hold (c-)” rating on shares of New Mountain Finance in a report on Thursday, January 22nd. Keefe, Bruyette & Woods lowered their price target on shares of New Mountain Finance from $10.00 to $9.00 and set a “market perform” rating on the stock in a research note on Wednesday. Wells Fargo & Company cut their price target on shares of New Mountain Finance from $10.00 to $8.00 and set an “equal weight” rating on the stock in a research report on Thursday, February 26th. Finally, B. Riley Financial reduced their price objective on shares of New Mountain Finance from $10.00 to $7.50 and set a “neutral” rating for the company in a research note on Tuesday. Five research analysts have rated the stock with a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Reduce” and a consensus target price of $9.25.

Institutional Investors Weigh In On New Mountain Finance

A number of institutional investors and hedge funds have recently modified their holdings of the company. MTM Investment Management LLC bought a new position in New Mountain Finance during the second quarter worth about $38,000. Huntington National Bank lifted its position in shares of New Mountain Finance by 311.8% in the second quarter. Huntington National Bank now owns 4,534 shares of the company’s stock valued at $48,000 after buying an additional 3,433 shares during the last quarter. State of Alaska Department of Revenue acquired a new stake in shares of New Mountain Finance in the third quarter valued at approximately $47,000. US Bancorp DE bought a new position in shares of New Mountain Finance during the 3rd quarter worth approximately $48,000. Finally, Advisory Services Network LLC bought a new position in shares of New Mountain Finance during the 3rd quarter worth approximately $65,000. 32.08% of the stock is owned by institutional investors.

New Mountain Finance Company Profile

New Mountain Finance Corp. is a closed-end, externally managed business development company (BDC) that provides customized debt and equity capital solutions to U.S. middle-market companies. As a BDC organized under the Investment Company Act of 1940, New Mountain Finance invests in sponsor-backed and founder-led businesses that span a range of industry sectors, with a focus on companies demonstrating resilient growth and recurring revenue streams.

The company’s investment portfolio typically includes first-lien senior secured loans, second-lien and junior debt instruments, mezzanine financing and equity co-investments.